The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Looks like a coordinated effort to show the market the directors believe the the company is undervalued.
If shares are undervalued buy backs are good for share holders that hold. If they are over value/neutral then dividends are the best way to return un-needed cash to share holders.
Most buy backs aren't good value for share holders, they are used to manipulate earnings per share which is often a bonus metric for the directors. My view is plus is considerably undervalued so I'm fine with the buy backs.
Possibly the sp has dropped because of planned acquisitions not being liked and a switch in strategy. The question was asked on investor meet company, they said the Acquistions in the US was primarily to get access to the us market, so hopefully the Acquistions are fairly small in value and strategic
Is the auac slightly misleading? It's the total marketing spend divided by new customers. However, some of that marketing spend retains customers/reminds inactive customers that PLUS still exists. E.g. when plus sponsor a football club it's not just new customers than see the sponsorship, it's existing customers who are reminded plus is still there. So the way they calc auac would also rise with more active customers
No, I mean engaging with share holders shown by an updated web page, and appearing on investor meet Company, if it follows the same format as other companies on investor meet Company they will take questions from the share holders.
Plus has CFDs, people on this board will use a stock broker for trading to buy stocks.
CFDs are leveraged so larger risks and larger potential reward than trading stocks.
So your question is like asking a group of Smokers why they aren lt using cocaine, both drugs but it doesn't mean you can expect all smokers to do cocaine.
There should be a voting button. 5 votes needed to remove posts that are ramping other stocks.
Re equity/funding. They said specifically they won't need to for 3 years.
It does make sense to raise equity at the moment with the share price still depressed.
"The same level of profit as the year before Covid on revenue nearly 20% lower - there seems to be tighter control on expenses."
Not at all, last year the provision increased by about 2.5m, this year it increased by 0.2m.